Practical Applications of Economics in Everyday Life and How Do Universities Prepare Students for the Same

One must wonder about the use of economics in everyday life. It is not just about managing money; it tells about how to allocate funds so as to fulfil the maximum needs and wants. 

India stands out with its meteoric rise to reach new heights in the global economy. India's Gross Domestic Product (GDP) grew 7.6% in the second quarter of FY24 (Source: Forbes). Also, the government revealed that this growth rate is higher than that of leading economies like the USA, China, the UK, and Russia.

Most people have a limited amount of time and money. Therefore, they can use economic principles for decision-making practices in everyday life. It helps them make calculations and be rational in the era of scarce resources.

The higher growth rate of India’s economy highlights the massive increase in career options for graduates. Heeding the need for economists, the top universities of India offer degrees with a mix of practical, analytical, and theoretical knowledge.

As a student, you are advised to take up a BA in Economics from Manipal University, Jaipur, to have excellent career prospects. Over 34 industry collaborations at this renowned institution offer guest lecture/expert visits to develop sought-after skills among students.

Economics has a crucial role in shaping our everyday life. But how? Let’s delve deeper into this.

Economics for Optimum Utilisation of Resources

Consumer Decision-Making

Limited resources are a common issue for every country. Due to this, the study of economics has become essential in the world. While making a purchase decision, most people face a shortage of time and money. However, the application of economics helps customers to make rational choices. It helps them maximise their level of satisfaction and reach the point of equilibrium. At Manipal University, Jaipur, you can learn about different concepts of economics like utility, marginal analysis, and opportunity cost that help you maximise people’s satisfaction with limited resources.

Budgeting

In everyday life, one should adopt budgeting methods to reduce unnecessary expenses and maximise savings. Principles of economics involve concepts like income, savings, investment, and expenses for financial planning.

After completing an economics degree from one of the top universities in India, you will become eligible to make effective financial plans to meet your expenditures.

The main aim of budgeting in an individual’s life is to properly allocate income to fulfil needs and wants for future planning. You can consider compound interest and marginal utility to guide people in creating a responsible budget.

Economics in Making Informed Decisions

Investment Decisions

To have a secure future, one should adopt investing methods in everyday life.

For this, economic principles are vital in the emerging market. To make informed investment decisions, people should consider economic indicators like risk/return, market trends, and funding sources. For example, SIP (Systematic Investment Plans) collections have seen a jump of 31% to INR 1.5 lakh crores in 2022 as people are willing to contribute to the mutual fund schemes (Source: Economic Times).

While pursuing a Bachelor of Arts Honours Economics, you will learn about investing methods mentioned below.

• Bonds
• Debentures
• Stocks
• Mutual Funds
• Certificate of Deposit
• Derivatives

Market Analysis

Knowledge of economics aids people in analysing the job market, including supply/demand for labour and the impact of government policies on wages. For example, the government asked Indian companies to raise staff salaries by 9.8% in 2024 in the Asia-Pacific region.

It might benefit poor or middle-class people to fulfil their needs and wants. Through this immediacy, one can obtain numerous benefits. Some of them are mentioned below.

• Career Planning
• Educational Paths
• Negotiation of Salaries

Top universities of India organise guest lectures that help students to interact with existing professionals. It guides them to work efficiently in real-world settings.

Government Policies

Knowledge of economics helps people to comprehend the implications of government policies and regulations in their lives. For example, in the upcoming budget on 1st February 2024, the government is to announce a budget of INR 2.10 crore to build highways and roads in FY24 (Source: Economic Times).

The construction of roads and expressways will influence your mobility experience and make your travel convenient. You can also use economic principles to analyse the impact of government policies that could benefit you in investment decisions.

How Top Universities of India Prepares Professional Economists?

Leading private universities in India prepare professional economists to encourage students for informed decision-making in diverse areas. Here is how.

• Universities promote financial literacy through workshops or courses on investing, debt management, personal finance, and more.
• Case studies or other real-world examples at universities bridge the gap between student’s theoretical and practical knowledge.
• Internship programs allow students to work on the practical ground for better employability.
• Other extracurricular activities like guest lectures, research projects, assignments, and classroom discussions can be a stepping stone for preparing professionals.

Likewise, Manipal University, Jaipur, prepares professionals in economics to stand with an outstanding growth rate of India’s GDP. The School of Humanities and Social Science was established at this premier institution in 2012 to provide a strong foundation in economic principles. It offers diverse career options mentioned below.

• Research Associates
• Economists
• Educational Institutions
• NGOs
• MNCs
• Teaching Faculty
• IAS/IES
• Business School

Let’s Wrap

Applying economic principles in everyday life fosters the growth of individuals and communities. Pursuing a degree from the best college for a BA Hons Economics in Rajasthan is an apt choice for students. For this, you can explore Manipal Jaipur placements that might develop your career progression in the fast-paced world of economics. Visit the website to learn how to get admission in Manipal University, Jaipur.